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Update 28.1 for Business Central 2026 release wave 1

Would you like to know what changes are in update 28.1? Below you find an overview and relevant links to what was done on hotfixes and regulatory features in this update. In addition, we gathered some good to know information and links that you might find interesting.

Highlights

Automate expenses with the Expense Agent (preview)

This update introduces the Expense Agent, which uses AI to automate the end-to-end expense process. Users can upload receipts and submit expense reports via a web app or email. The agent extracts key details, detects duplicates, and generates reports automatically.

Along side it, the new Expense Management module in Business Central adds expense report management with itemization, per diem, mileage tracking, approval workflows, and reimbursement posting.

Learn more in Expense management.

Hotfixes

Learn about the hotfixes and download on-premises files from Microsoft Support at Update 28.1 for Business Central 2026 release wave 1.

Feature changes

Product area Feature Public preview/General availability
Cloud migration Validate Dynamics GP data migration General availability
Copilot and agents Envision and design AI agents in Business Central Public preview
(now on production environments and with evaluation tool)
Manage expenses in Business Central using Expense Agent Public preview
Country and regional Use e-invoice formats for service invoices in Germany General availability
Development Enable Troubleshooting MCP Server for AL General availability
Financial management Calculate excise taxes General availability
Enable Investment Boost for fixed assets General availability
Manage employee expenses using expense reports Public preview
Governance and administration Audit user and group permissions across apps General availability
Reporting and data analysis Control the lifecycle of report layouts General availability
Use enhanced and faster reports for analysis of deferrals and trial balances General availability
Use new APIs for analyzing approval workflows for auditors and IT staff General availability
Use new APIs for analyzing permissions for auditors and IT staff General availability

Localization updates

No updates

Release plan

Do you want to get a comprehensive overview of what's new and planned for Business Central online for the entire 2026 release wave 1 (release from April 2026 to October 2026)? Learn more at Plan and prepare for Dynamics 365 Business Central in 2026 release wave 1.

Upgrade to 28.1

Online customers

  • New customers get Business Central version 28.1 automatically.
  • Existing customers are notified when update 28.1 is available so they schedule the update. Learn more in Schedule an update.

On-premises customers

The upgrade path depends on your current major version. Select the instructions that match your deployment:

Good to know

Business Central Launch Edition - 2026 release wave 1

Explore the Business Central Launch Edition (BCLE)—a comprehensive skilling experience designed to help partners stay up to date, aligned, and ready to deliver value faster with every release wave.

  • 40+ what's new sessions on YouTube: aka.ms/BCLE
  • 'What's new' partner deck for download: aka.ms/BCLEDECK
  • Have questions? Go to the new Business Central partner communities on Viva Engage and ask the product experts: aka.ms/BCVivaEngage

Are you a partner who wants a list of relevant resources? Learn more in Resources for Partners.

Are you a user who wants a list of relevant resources? Learn more in Resources for users.

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